Jakks Pacific Inc. (JAKK) Rating Increased to Buy at Zacks Investment Research
Jakks Pacific Inc. (NASDAQ:JAKK) was upgraded by Zacks Investment Research from a “hold” rating to a “buy” rating in a research note issued on Tuesday. The firm presently has a $9.50 target price on the stock. Zacks Investment Research’s price target points to a potential upside of 10.08% from the stock’s previous close.
According to Zacks, “Over the past few quarters, JAKKS Pacific’s revenue growth has been mainly supported by sales of products such as the BIG-FIGS featuring Star Wars and Batman vs. Superman, Warcraft figures, collectible figurines line Tsum Tsum, Disguise Halloween costume, and Nintendo figures and plush. The company’s international expansion efforts have also added to the results. Going forward, product launches and organic growth initiatives are likely to propel growth. Besides, associations with popular brands and licensing agreements with well-liked movie and television franchises should boost sales. Also, estimates have been mostly stable lately ahead of JAKKS Pacific’s third quarter earnings release. Meanwhile, the company has mixed record of earnings surprises in recent quarters. However, a challenging retail environment, age compression and the shift to alternative modes of entertainment like smartphones are potent threats to the top line.”
A number of other equities research analysts have also recently issued reports on the stock. B. Riley reissued a “neutral” rating and issued a $10.00 target price on shares of Jakks Pacific in a research report on Tuesday, July 26th. Piper Jaffray Cos. reissued an “overweight” rating and issued a $11.00 target price on shares of Jakks Pacific in a research report on Monday, May 23rd. One investment analyst has rated the stock with a hold rating and four have assigned a buy rating to the stock. The company has a consensus rating of “Buy” and a consensus target price of $11.58.
Shares of Jakks Pacific (NASDAQ:JAKK) opened at 8.63 on Tuesday. Jakks Pacific has a 52-week low of $6.17 and a 52-week high of $9.75. The firm has a market cap of $139.39 million, a PE ratio of 16.47 and a beta of 0.34. The firm has a 50-day moving average of $9.12 and a 200 day moving average of $8.09.
Jakks Pacific (NASDAQ:JAKK) last released its quarterly earnings data on Wednesday, July 20th. The company reported ($0.27) EPS for the quarter, topping the Zacks’ consensus estimate of ($0.31) by $0.04. Jakks Pacific had a net margin of 2.00% and a return on equity of 10.42%. The firm earned $141 million during the quarter, compared to analysts’ expectations of $134.80 million. During the same period in the previous year, the business posted ($0.30) earnings per share. The company’s revenue for the quarter was up 7.6% compared to the same quarter last year. On average, equities analysts predict that Jakks Pacific will post $0.79 earnings per share for the current year.
In related news, major shareholder Patrick Soon-Shiong sold 133,619 shares of the company’s stock in a transaction dated Friday, July 22nd. The shares were sold at an average price of $8.82, for a total transaction of $1,178,519.58. Following the completion of the sale, the insider now owns 239,622 shares of the company’s stock, valued at $2,113,466.04. The transaction was disclosed in a document filed with the Securities & Exchange Commission, which is available at the SEC website. Corporate insiders own 4.10% of the company’s stock.
A number of large investors have recently bought and sold shares of JAKK. Walthausen & Co. LLC purchased a new stake in Jakks Pacific during the second quarter valued at $3,922,000. JPMorgan Chase & Co. boosted its stake in Jakks Pacific by 835,921.4% in the second quarter. JPMorgan Chase & Co. now owns 351,129 shares of the company’s stock valued at $2,778,000 after buying an additional 351,087 shares in the last quarter. Franklin Resources Inc. boosted its stake in Jakks Pacific by 10.5% in the second quarter. Franklin Resources Inc. now owns 2,525,010 shares of the company’s stock valued at $19,972,000 after buying an additional 240,470 shares in the last quarter. Emerald Acquisition Ltd. purchased a new stake in Jakks Pacific during the second quarter valued at $1,293,000. Finally, Acadian Asset Management LLC boosted its stake in Jakks Pacific by 18.2% in the first quarter. Acadian Asset Management LLC now owns 830,449 shares of the company’s stock valued at $6,178,000 after buying an additional 127,907 shares in the last quarter.
Jakks Pacific Company Profile
JAKKS Pacific, Inc is a multi-line, multi-brand toy company. The Company designs, produces, markets and distributes toys and related products, pet toys, consumables and related products, electronics and related products, kids indoor and outdoor furniture, and other consumer products. The Company operates through two business segments: traditional toys and electronics, and role play, novelty and seasonal toys.
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